1. At Coca-cola China, our mission is to create high quality
beverages that will refresh mind, body and spirit. Alongside our
personal motto “ Think local, Act local” we will continue to
strive to provide a wide variety of beverages to suit everyone
around the world while benefiting our stakeholders.
In order to maintain our position as China’s favorite beverage
company, we continue to deliver this by committing ourselves to
explore new areas and create beverages that are accessible to
every one of all backgrounds

2. Corporation
Objectives
(3 Year)
Double
online
sales
+15%
Total
sales
+10% organic
brand sales
+ 8% RTD Tea
Market share

3. Original
Leaf
Refreshment/
hydration
Relaxation/ Fun
Sense of belonging
New experience
Better health/
wellbeing
Saving money
• Interactive Games/
Coded labels
• Promotions/Discounts
• Knowledge of
ingredients/
educational facts
• Celebrity proximity
• Availability
• New Flavours
• Natural
Consume,
Scan,
Read

4. Buying criteria
Original leaf
Motivators factors
 Natural ingredients *
 Traditional tastes
 Branding *
 Low-sugar content
Hygiene factors
 Price
 Variety
 Safety
 Convenient

5. NaturalArtificial
Western
Traditional
Kong Fu
panda
Health
seeker
Adventurer
School
kids
300,000,000
Tea beverage drinkers
In China
（11.5L/57.5¥/person/year)
Total Volume (2015-18)
17457.7 to 20157.5 mn litre
Growth rate
2015-16 5.3%
2016-17 4.9%
2017-18 4.5%
Questionnaire (30 in total)
300M* 16/30= 160M (KFP)
300M* 9/30= 9M (HS)
300M* 2/30= 2M (SK)
300M* 3/30= 3M (Ad)

6. PESTEL Analysis
Politic:
- Bureaucracy and
corruption
- Min standard for product
- Rivalry between centuries
- Tax
Economic:
- Exchange rate
- Price of raw material
(Oil price)
- Income level
- Employee wages
Social:
- Awareness of health
- Educated people
- MIC (culture loyalty)
Technology:
- Evolution of machines
- Online shopping
- Artificial ingredients
development
Environment:
- Organic ingredients
- Recycling packaging
- MIC (culture loyalty)
Legal:
- Law for anti-monopoly
- Tea beverage regulation
- laws favouring local
distributors

7. 7
Rivalry- High
PepsiCo
Wahaha
Tingyi
Uni-Pesident Ent.
Bargaining power of
buyers – Moderate
1. Small local stores
2. Restaurant chains
3. Vending machines
4. Large supermarkets
5. Internet
Threat of Substitutes - High
1.Chinese Cola 2. Juice
3. Sports & energy drinks 4. Milk/ flavoured milk
Five Forces
Product/product category: Original Leaf
7
Threat of new entrants - Low
1. Local Brands 2. Lower prices 3. Innovative products
4. Endorsed products 5. Novel/ Foreign beverages
Bargaining power of
suppliers – Low
1. Substitutes available
2. Differentiated
3. Supplier concentration
4. Prices
5. Packaging

8. MA Weight Kungfu Pandas Health seeker School kids Adventurer
Growth 15% 6 0.9 8 1.2 8 1.2 5 0.75
Profitability 25% 6 1.5 7 1.75 4 1 2 0.5
Size 25% 8 2 6 1.5 2 0.5 3 0.75
Health 15% 8 1.2 9 1.35 2 0.3 4 0.6
Competition 10% 5 0.5 6 0.6 8 0.8 8 0.8
Tradition 10% 8 0.8 4 0.4 2 0.2 4 0.4
Total 100% 6.90 6.80 4.00 3.80

9. C.S.F.’s
Score/weighting
Above the diagonal line: Score out of 10
Below the diagonal line: Multiply score x weight
Weights
Coca Cola Jiaduobao Master kong
1. Price 20 5 6 5
1 1.2 1
2. Quality 50 8 4 5
4 2 2.5
3. Flavor 10 5 9 8
0.5 0.9 0.8
4. Accessibility 20 6 1.2 9 1.8 9 1.8
Totals 100 6.7 5.9 6.1
Critical Success Factors
Product-market segment: Health seekers
Relative Business Strength: 6.7 – 6.1 = 0.6
© Cranfield University 2013 9

10. C.S.F.’s
Score/weighting
Above the diagonal line: Score out of 10
Below the diagonal line: Multiply score x weight
Weights
Coca Cola Jiaduobao Master kong
1. Price 20 5 6 5
1 1.2 1
2. Quality 50 8 4 5
4 2 2.5
3. Flavor 10 5 6 9 8
0.5 0.6 0.9 0.8
4. Accessibility 20 6 7 1.2 1.4 9 1.8 9 1.8
Totals 100 6.7 7 5.9 6.1
Critical Success Factors
Product-market segment: Health seekers
Relative Business Strength: 6.7 – 6.1 = 0.6 0.9
10

11. C.S.F.’s
Score/weighting
Above the diagonal line: Score out of 10
Below the diagonal line: Multiply score x weight
Weights
Coca Cola Jiaduobao Master kong
1. Quality 30 8 4 5
2.4 1.2 1.5
2. Price 25 5 7 7
1.25 1.75 1.75
3. Accessibility 15 4 10 10
0.6 1.5 1.5
4. Flavour 30 5 1.5 7 2.1 7 2.1
Totals 100 5.75 6.55 6.85
Critical Success Factors
Product-market segment: Kung Fu Panda
Relative Business Strength: 5.75 – 6.85 = -1.10
© Cranfield University 2013 11

12. C.S.F.’s
Score/weighting
Above the diagonal line: Score out of 10
Below the diagonal line: Multiply score x weight
Weights
Coca Cola Jiaduobao Master kong
1. Quality 30 8 4 5
2.4 1.2 1.5
2. Price 25 5 8 7 7
1.25 2 1.75 1.75
3. Accessibility 15 4 8 10 10
0.6 1.2 1.5 1.5
4. Flavour 30 5 6 1.5 1.8 7 2.1 7 2.1
Totals 100 5.75 7.4 6.55 6.85
Critical Success Factors
Product-market segment: Kung Fu Panda
Relative Business Strength: 5.75 – 6.85 = -1.10 0.55
© Cranfield University 2013 12

13. Directional Policy Matrix
High
Low
+2 +1 0 -1 -2 Low
Relative business strength
Market
attractiveness
High
© Cranfield University 2013 13
KFP
SK
A
HS

14. Directional Policy Matrix - Future
High
Low
+2 +1 0 -1 -2 Low
Market
attractiveness
High
© Cranfield University 2013 14
HS
KFP
SK
HS-2
SK
-2
KFP-2
A A-2
Relative business strength

15. NaturalArtificial
Western
Traditional
Kong Fu
panda
Health
seeker
Adventurer
School
kids
300,000,000
Tea beverage drinkers
In China
（11.5L/57.5¥/person/year)
Total Volume (2015-18)
17457.7 to 20157.5 mn litre
Growth rate
2015-16 5.3%
2016-17 4.9%
2017-18 4.5%
Questionnaire (30 in total)
300M* 16/30= 160M (KFP)
300M* 9/30= 9M (HS)
300M* 2/30= 2M (SK)
300M* 3/30= 3M (Ad)

16. Decrease
Price
e.g. lower
price,
promotion
Contract
with local
retailer/
restaurant
Better
Flavours
New
recopies/
technologies
Improve
Distribution
Marketing
department
M
Sales and logistic
department H
R&D
department
M

17. 7 Ps. Segment: _____KFP2 & HS2_____
Element Current Future
Product
Price
Promotion
Place
Provision of customer
experience
People
Processes
17
© Cranfield University 2013
High quality, Natural
ingredients
Remind, but better
flavour
3 - 3.5 2.5 – 3
TV commercial advertising
More channel :e.g. weibo,
wechat
Hard be found in Central
China
Reach Central China
No data
Multi channel interaction,
reliable product
No data
No data
Employee engagement,
commitment (if possible)
Adver to showing how to make
the product, higher productivity
(if possible)

18. Flavoured
Essentially Tasteful
Kids
Parents
Workplace Bowling Route